Despite tough economic conditions and tightening ad budgets, IPL franchises — many of whom have restructured their squads — are pretty gung-ho about sponsorship revenues as they pad up for the 18th edition of the T20 league.
Not only are they managing to renew existing deals but are also inking some new ones. Some teams said they expect to see double-digit growth in sponsorship revenues in the upcoming season, which kicks off on March 22.
Jake Lush McCrum, CEO, Rajasthan Royals, told businessline , “We are anticipating over 20 per cent growth in sponsor revenues for this season, which is a significant achievement, especially in a year where brands have already invested heavily in major global tournaments like the World Cup and the Champions Trophy. We have new sponsors coming on board this season but what’s most important for us is the renewal of our existing partners.”
Stressing on long associations, McCrum said, “All our jersey partners have been with us for multiple years now, with some entering their eighth year of association. This long-term commitment not only strengthens our relationships but also delivers significant value to these brands, fostering a deeper connection with the franchise and its passionate fan base.”
Rajasthan Royals has long-term sponsorship partnerships with brands including Luminous, Red Bull, NEOM, BKT, Jio and Goel. It has also inked new sponsorship deals with brands like Myntra this year.
“We are excited about our unique association with Myntra this year, which will feature a dedicated “Pink Zone” on their platform. This is significant given Myntra’s strong audience base in Rajasthan and the North-East, making it a strategic partnership,” McCrum added.
Digital Push
At a time when online viewership is on a high, IPL team owners are increasingly inking digital sponsorship partnerships.
Said Satish Menon, CEO, Punjab Kings, “Our digital sponsorship revenues alone have soared by three times. We are also seeing very strong interest from regional and home-grown players. Overall, we will end up growing sponsorship revenues by 30-35 per cent this season.”
Punjab Kings has renewed partnership with Avon Cycles for the third time. It has also inked new deals with brands including Freemans, Highland and Kshema General Insurance. Binda Dey, Group CMO, Kolkata Knight Riders, said the team expects to clock “impressive growth” in sponsorship revenues “outpacing industry average”.
Dey said KKR has added new marquee sponsors, particularly in prime jersey positions this season.
“RR Kable and Vikram Solar have joined hands with us, reinforcing the trust that top-tier brands place in KKR as a platform to drive business impact and brand visibility. More importantly, these are not just short-term deals — we are focused on long-term partnerships.”
Change in terms
Santosh N, Managing Partner of D&P Advisory, noted that sponsorship revenue growth for some franchises is expected to be muted as brands have tightened marketing spends due to the ongoing consumption slowdown.
